Blackstone Group commits $250 million to start-up hedge fund Covara Capital, run by former Fir Tree Partners portfolio manager Sachin Gupta. Covara’s strategy mirrors Fir Tree’s long-short credit approach. Blackstone’s BXMA unit actively seeds new firms for future profits, declining to comment on the deal. Gupta’s experience and track record attracted Blackstone’s investment in Covara. The new hedge fund focuses on high-yield and investment grade corporate credit in the US and western Europe. Blackstone has previously seeded other successful firms like Astaris Capital and Arrowpoint Investment Partners.

Read more at Yahoo Finance.: Blackstone invests $250 million in new hedge fund Covara